Crude Surges Above $100
The price of NYMEX traded crude moved above $100, on the heels of the Fed's QE3 announcement and civil unrest in the Middle East - much of its against U.S. interests. The price reached an intraday high of $100.42. While the effects of the Fed's decision may dissipate, problems in the Middle East are not likely to - at least for now. The violence has spread to Libya, Egypt, Afghanistan, Tunisia and the Sudan.
The New York Times reports that protests have begun near U.S. diplomatic building in Germany and the U.K.
And problems between Israel and Iran over the latter's arms program are hardly settled. The Israeli government continues to press the U.S. for specifics on benchmarks for the activities of the Iran weapon's development projects. At some point, Israel want the U.S. to act in concert with it to attack Iran.
The effect on U.S. gas prices continues. The price of an average gallon of regular nationwide was $3.867 up from $3.710 a month ago. In some large states which include California and New York, the price is already above $4.
Douglas A. McIntyre
Filed under: 24/7 Wall St. Wire, Oil & Gas Tagged: featured